Do International Shocks Affect Small Wholesalers and Retailers?

Previous research has suggested that the smallest firms are those most vulnerable to international competition, as measured by exchange rate fluctuations and import shares. However, that work – and the overwhelming bulk of the empirical literature on determinants of exit or firm survival – dealt entirely with the manufacturing sector of the economy. Are firms further down the distribution chain, small wholesalers and retailers, hurt by real exchange rate movements? Annual data for 1989-2005 are analyzed to explain small firm exit rates in several employment size categories – under 10 employees, 10-19 employees, 20-99 employees, and 100-499 employees. While there is variation across industry sectors, the basic result is that wholesalers respond negatively to a stronger currency in a manner similar to that of manufacturers, while retailers are generally unaffected.

Foreign Competition and Small-Firm Entry in US Manufacturing

In our increasingly globalized economy, the growth and profit prospects of domestic firms, especially small firms, seem clearly impacted by competitive pressures from foreign firms. This article analyzes annual data for 1989-1998 for 140 3-digit SIC manufacturing industries and for 1998-2004 for 86 4-digit NAICS industries on establishment -- plant-level -- births by small firms in several size categories. The major finding is that international pressures, in the form of import share weighted exchange rate appreciation, seem to lead to reduced rates of smallest-firm entry in manufacturing, though the magnitudes of these effects are smaller than sometimes discussed (and there is the suggestion that dollar appreciation may actually benefit small firm entry through access to cheaper inputs where the final product import threat is weak).small firms, entry, foreign competition, exchange rates

Antidumping as a Development Issue

Almost 90 years ago Viner (1923) identified dumping as a "problem" in international trade; more recently Prusa (2005) and Zanardi (2006) have found the overuse of antidumping to be the "problem" in international trade. Others have observed the pervasive use of antidumping since the end of the Uruguay Round and the resulting framework of trade liberalization, as well as the trend of increasing cases filed by and against developing countries. What has not been well documented is how dramatically the patterns of antidumping usage have changed, to the point that while obviously impacting trade flows, the impact is now of most concern to the developing world. This paper attempts to stimulate discussion about antidumping policy among development economists, who have largely ignored the topic; evaluating trade policy by developing economies without considering antidumping is incomplete and ignores the extent to which it may be substitutable for other methods of trade protection. Antidumping has become truly a "problem" of development. Despite some debate on the role of international openness in determining economic performance, there is little research on how the use of particular trade policy mechanisms affects either trade openness or economic performance. In what follows we examine the role of developing countries in antidumping, with particular focus on which countries employ this instrument of protection, and which countries are heavily targeted; we also note those countries which are targeted but do not respond in kind.Antitrust Enforcement, Central and Eastern Europe, Competition Policy JEL classification:

Stabilization of A-type layered antiferromagnetic phase in LaMnO_3 by cooperative Jahn-Teller deformations

It is shown that the layered antiferromagnetic order in stoechiometric LaMnO_3 cannot be understood purely from electronic interactions. On the contrary, it mainly results from strong cooperative Jahn-Teller deformations. Those involve a compression of the Mn-O octahedron along the c-axis (mode Q_3 < 0), while alternate Jahn-Teller deformations occur in the ab-plane (mode Q_2). These deformations stabilize a certain type of orbital ordering. The resulting superexchange couplings are calculated by exact diagonalization, taking into account both e_g and t_{2g} orbitals. The main result is that antiferromagnetic (ferromagnetic) coupling along the c-direction (ab-planes) can be understood only if the Jahn-Teller energy is much larger than the superexchange couplings, which is consistent with experiments. This mechanism contrasts with that based on weak Jahn-Teller coupling which instead predicts elongation along the c-axis (Q_3 > 0). The crucial role of the deformation anisotropy Q_2/Q_3 is also emphasized.Comment: 8 pages, 6 figure

Jahn-Teller, Charge and Magnetic Ordering in half-doped Manganese Oxides

The phase diagram of half-doped manganite systems of formula A_{0.5}A'_{0.5}MnO_3 is investigated within a single-orbital model incorporating magnetic double-exchange and superexchange, together with intersite Coulomb and electron-lattice interactions. Strong Jahn-Teller and breathing mode deformations compete together and result in shear lattice deformations. The latters stabilize the charge-ordered CE-type phase, which undergo first-order transitions with temperature or magnetic field to either Ferromagnetic metallic or Paramagnetic insulating phases. An essential feature is the self-consistent screening of Coulomb and electron-phonon interactions in the ferromagnetic phase.Comment: 10 pages, six figures (eps files) +two class file

The Determinants of State-Level Antitrust Enforcement

While there has been a considerable literature exploring determinants of antitrust enforcement in the United States, studies have been based either on aggregate federal enforcement data over time (exploring cyclical influences) or cross-industry studies, usually for a single year or aggregated over several years. What has never been investigated is the pattern of state-level antitrust. This is somewhat surprising, as this has been a major activity of many state Attorneys General. In this paper, we explain state antitrust enforcement across states and time (for a 15-year period), examining a number of economic and political determinants which have been proposed in the literature.antitrust enforcement

Do States Free Ride in Antitrust Enforcement?

Recent research has documented a substantial role in antitrust enforcement by U.S. states. While many of the cases litigated involve small local firms, a non-trivial portion encompass multiplestate issues. Some previous literature has investigated whether states engage in free-riding behavior in environmental regulation, and whether governments free ride on private decisions in provision of public goods. In this paper, we analyze a sample of antitrust cases involving crossstate impacts (from the Multi-State Antitrust Database, provided by the National Association of Attorneys General) and explain the determinants of free-riding (which we define as participatingin a case, but not as a lead plaintiff). JEL classification:

Joint superexchange--Jahn-Teller mechanism for A-type antiferromagnetism in LaMnO3LaMnO_3

We propose a mechanism for A-type antiferromagnetism in orthorombic LaMnO_3, compatible with the large Jahn-Teller splitting inferred from structural data. Orbital ordering resulting from Jahn-Teller distortions effectively leads to A-type ordering (antiferromagnetic in the c axis and ferromagnetic in the ab plane) provided the in-plane distorsion Q_2 is large enough, a condition generally fulfilled in existing data.Comment: 4 pages Late

Are Credit Unions Just Small Banks? Determinants of Loan Rates in Local Consumer Lending Markets

Only recently have studies of banking markets paid attention to the potential competitive discipline provided by credit unions on consumer loan rates. However, an unresolved issue is the extent to which credit unions are substitutable for banks. We analyze a combined sample of 100 banks and 187 credit union in 68 U.S. markets observed quarterly over the 1992-1998 period, to explain loan rates for two types of consumer loans. Our results suggest that, even after controlling for market shares and deposit sizes of institutions, credit unions charge their members significantly lower interest rates on loans than do banks. Furthermore, an examination of the pattern of responses to lagged interest rates yields an indication of greater inertia in rate-setting by credit unions than by banks.

Eigenvalue Integro-Differential Equations for Orthogonal Polynomials on the Real Line

The one-dimensional harmonic oscillator wave functions are solutions to a Sturm-Liouville problem posed on the whole real line. This problem generates the Hermite polynomials. However, no other set of orthogonal polynomials can be obtained from a Sturm-Liouville problem on the whole real line. In this paper we show how to characterize an arbitrary set of polynomials orthogonal on $(-\infty,\infty)$ in terms of a system of integro-differential equations of Hartree-Fock type. This system replaces and generalizes the linear differential equation associated with a Sturm-Liouville problem. We demonstrate our results for the special case of Hahn-Meixner polynomials.Comment: 28 pages, Latex, U. Texas at Austin/ Washington University preprin